Infineon and Vodafone to Collaborate on Next Generation GSM and EDGE Technologies to Enable Mobile Internet for the Emerging Markets

Neubiberg, Germany and Barcelona, Spain – February 15, 2010 – Infineon Technologies AG (FSE: IFX / OTCQX: IFNNY) today announced its collaboration with Vodafone Group Plc, the world’s leading mobile telecommunications company.

This collaboration will expand the strategic partnership of both companies enabling Vodafone to enter the Mobile Internet Device (MID) market with its own branded products leveraging Infineon’s cost optimized mobile platforms to achieve an enhanced internet user experience for emerging markets. The Vodafone VF545 is the first device to result from this collaboration.

“With the development of the XMM™2130 EDGE platform Infineon is uniquely addressing the needs of the emerging markets. We are proud to collaborate with Vodafone, one of the leading market players, to power their mobile internet handsets solutions,” said Dominik Bilo, Senior Vice President Sales, Marketing & Distribution at Infineon.

In emerging markets where fixed internet structures typically aren’t in place, platforms from Infineon are enabling access to mobile internet and applications for millions of new users. Hosting the highest level of on-chip integration for its segment and powered by a high performance CPU the Infineon X-GOLD™213 brings together the benefits of feature phone performance, EDGE download speeds and a cost optimized architecture to enable a wide range of MID devices with a rich mobile internet experience.

Frank Redmer, General Manager of Vodafone Branded Devices Procurement Division, said: “The latest chip-set solution from Infineon perfectly supports Vodafone’s strategy in providing appealing devices to fast growing markets. With the introduction of the next generation EDGE platform from Infineon, Vodafone can now further enhance its attractive own branded phone portfolio.”

Infineon Technologies AG, Neubiberg, Germany, offers semiconductor and system solutions addressing three central challenges to modern society: energy efficiency, communications, and security. In the 2009 fiscal year (ending September), the company reported sales of Euro 3.03 billion with approximately 25,650 employees worldwide. With a global presence, Infineon operates through its subsidiaries in the U.S. from Milpitas, CA, in the Asia-Pacific region from Singapore, and in Japan from Tokyo. Infineon is listed on the Frankfurt Stock Exchange (ticker symbol: IFX) and in the USA on the over-the-counter market OTCQX International Premier (ticker symbol: IFNNY).